Morningstar’s latest research revisits the concept of a “safe” retirement withdrawal rate, emphasizing that sustainability depends on market conditions, asset allocation, and spending flexibility. The analysis suggests that static withdrawal rules may not fully account for longevity and sequence risk, particularly during periods of market volatility. Retirees who adjust spending based on performance and maintain diversified income sources tend to experience more stable outcomes. The research highlights the importance of aligning withdrawals with essential expenses and maintaining flexibility for discretionary spending. Rather than relying on a single percentage rule, a dynamic approach that considers income stability and market conditions may improve long-term portfolio durability.